In an attempt to reduce tail risk, a large US west coast endowment allocated up to 15 per cent to a Man Investments’ portfolio of alternative strategies that includes global macro and managed futures.
Inflation considerations for asset allocation
The first of a two-part series by AQR provides some analysis for investors deciding how to position a portfolio for various inflationary environments, and clarifies some misconceptions about inflation, and inflation-linked assets. The second paper will discuss the potential risks and rewards of holding various assets during distinct economic environments. Inflation in 2010 and Beyond (pdf)
CIC expands global reach
The Chinese Investment Corporation will hire a throng of investment professionals to join its nearly 200-member global investment team, following the second meeting of its international advisory council in Shanghai this month.
What now?
This RogersCasey position paper examines the inflation-deflation debate, and the strategic role of real assets in portfolios, concluding there will be higher volatility around long-term average inflation, and that clients should diversify away from US treasuries to protect against sovereign risk.
Canadian penchant for fewer, bigger funds hits Australia
Dutch giant see-saws to recovery
The precarious seesaw that is pension fund asset-liability management is demonstrated in the latest results of the giant Dutch pension fund, ABP, with the fund’s coverage ratio falling, despite positive investment returns, and the fund being only slighly ahead of its recovery schedule. In the first six months of this year the fund’s pension liabilities … Read more
